Turning Bullish: Jyothy Labs.Jyothy Labs. has turned bullish with strong price momentum seen in short, medium and long term moving averages.
Resistance levels: 572, 595, 640
Support levels: 550, 526, 502
Pros:
Revenue grows at 8%YoY in Q1FY25 due to volume.
Fabric care and dishwash (77% of total sales) had YoY growth of almost 9% and 7%, respectively. YoY, personal care and household pesticides rose by ~11% and 2%, respectively.
Operating profit increased by 14% YoY, driven by a 340bps spike in gross margin to 51.3%.
Ad spending rose 22% YoY during the quarter.
Yet, EBITDA margin rose 90bps YoY to 18%.
The firm is focusing on volume growth and margin forecast of 16%-17%, not price rises.
Slowly rural demand is rising.
The firm benefits from a good monsoon and GoI demand-boosting measures.
Revenue and profits are projected to expand by ~11%/15% CAGR from FY24-26E.
Valuing JLL at 45x Sept 2026 EPS.
Source: REsearch by Geojit Financial Services